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Visa And Mastercard Stand By Binance Amid Exchange’s Regulatory Scrutiny

Visa And Mastercard Stand By Binance Amid Exchange's Regulatory Scrutiny
Written by publishing team

While two of the UK’s largest banks, Barclays and Santander, have stopped working with the world’s largest cryptocurrency exchange, Binance, MasterCard Corporation (NYSE: MA) and Visa company (NYSE: V) I decided to continue working with the company.

What happened: According to a Financial Times report on Thursday, Visa told the news outlet that it is “aware of the latest FCA statement on Binance” and is in contact with the exchange to monitor the situation as it evolves.

Similarly, Mastercard said it continues to “monitor this situation, including how the exchanges meet their regulatory requirements.”

Earlier, Visa partnered with Binance to offer a Visa-branded debit card that allows customers to spend cryptocurrency located in a large part of Europe.

However, the exchange does not issue cards directly. Instead, it relies on its partner Kontis, a Visa partner with an electronic money license from the Central Bank of Lithuania.

Binance relies on several payment partners to connect with the traditional financial system, including and Clear Junction – both of which are part of the major payment channels themselves. Some of these partners began severing ties with the exchange because it found itself in the midst of greater and greater regulatory scrutiny.

Read also: Gemini, Coinbase and Kraken adopt regulations to challenge Binance’s dominance as a leader in crypto exchange

Specifically, Clear Junction provided Binance with access to the European payment network SEPA, but announced on Monday that it would “not facilitate payments” for the company.

British payments company BCB Group cut ties with Binance earlier this year. As of Wednesday, customers were unable to withdraw or deposit Euros and Pounds Sterling through Faster Payments or SEPA, UK Binance’s payment partner. Binance said it was “working as quickly as possible to make payment services available” to users.

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